This loan program is designed for home-buyers (purchase transaction) and home-owners (refinance transaction) that do not want to provide (Form 4506-T not required) or are unable to produce (business and/or personal tax returns, W-2's, paycheck stubs, lease agreements, etc..) traditional income documentation; have been on their job/profession/a business owner for less than 2 years; have a major credit event on their credit report (Non-Prime) such as a bankruptcy, foreclosure, short-sale, loan modification, or automobile repossession; have a Full Doc debt to income ratio higher than 43% or would like a more flexible term such as a 40-year amortization payment with or without an "interest-only" payment option or just happen to fall outside the credit (depth or seasoning) guideline requirements of a Qualified (QM) or "prime" jumbo mortgage loan.

Creative "Ability-to-Repay" (ATR) Financing

Asset Utilization and/or Cash-Flow (bank statements) Loan Program

Loan Purpose and Percentage of Financing:

  • Purchase - 10% Down Payment
  • Rate/Term Refinance - 90% LTV
  • Cash Out Refinance - 85% LTV

Income Documentation Program - 6 Options for Self-Employed in Conjunction  with a "Borrower Prepared" and Unaudited Profit & Loss Statement | P&L

"Alt-Doc" (self-employed): Bank Statements and/or Asset Depletion / Asset Utilization:

  • 24 Months Business Bank Account
  • 12 Months Personal Bank Account
  • Asset Depletion (asset utilization)
  • "Low Doc" (self-employed and W-2): Reduced Doc
  • 1 Year W2 and/or 1-Year Tax Return

Alt Income: Borrower Prepared P&L

Alt Doc and Low Doc Programs are for the Primary and Self-Employed Borrower:

  • Co-Borrower W-2 Employee OK for Low Doc - 1 year W-2 in Lieu of the Traditional 2-Year Requirement


Debt-to-Income Ratio: (DTI) - 55%


Based on Bank Statement Cash-Flow, Liquid Asset Reserves (stand-alone or in conjunction with bank statements) Liquid Assets, Cash-Flow, and Real Estate Portfolio Equity


Borrower Credit Profile:

  • Cannot Provide Conventional "Full Doc" Income documentation
  • Unseasoned (<2 years) Employment History
  • Unseasoned Credit Event - Bankruptcy, Foreclosure, Short-Sale, Loan modification
  • >43% Debt-to-Income (DTI) Ratio


Jumbo: $3,500,000


Credit Notes:

Mortgage Credit Score: 660 minimum middle score or lower of 2 scores



  • Bankruptcy - 3 years from discharge date
  • Foreclosure - 2 years
  • Short-Sale - 2 years
  • Loan Modification - 2 years


Reference # - 1245587



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